Whether oil prices rise or fall, energy stocks are still worth investing in, according to Foord Asset Management's Brian Arcese. Arcese, a portfolio manager at the firm, said he would be quite comfortable increasing the weight of energy stocks in his portfolio. "I think there are a lot of tailwinds for oil prices going forward," he told CNBC Pro Talks on Thursday.
Stock picks Arcese says he likes Occidental , a "great company [which] is highly geared to oil prices." "So if oil prices stay high, they generate a significant amount of cash," he said. "Management is taking the view that they won't use the cash to invest in lower returning renewables energy projects, for example, but instead will return all the excess cash to investors — either in buybacks or in special dividends.
Once oil FALLS all stocks/companies will be winners
The oil market is one of the most manipulated markets in the world. Oil prices went down a few years back (I think it was Brian Sullivan who reported on it) because they “found” oil in storage that was unaccounted for. Really? Unaccounted for?
CNBC always shilling for Oil & Gas. They must not own any waterfront.